It has been awhile since I have sat down and expressed my views. When I first started to blog before Barack Obama was corruptly elected to office. (Remember he is from Chicago and that is how Democratic politicians are elected to office) he hadn’t started the destruction of the United States that we are witnessing today. We now know what he meant by “CHANGE.” “CHANGE” means destruction if the United States as we have know it for 200 years. The one thing that Barack Obama has done very effectively is resurrect racism in this country. Ever since the day he took office that topic is in the news.

It finally comes down to this: “If you disagree with Barack Obama and his policies you are a racist and you hate Afro-Americans.” This is the most destructive chain of thought to evolve out of the Barack Obama Presidency. Is this Barack’s Problem? Of course not. But wait, or is it? If it is not his problem why is he not calling out the people like Bill Clinton, Jimmy Carter and a host of other Barack Obama supporters to tell them that it is wrong to make the racial comment above. Maybe Barack Obama is not not responsible for the racial comments, however he has the position to make the statement “If you disagree with Barack Obama and his policies you are a racist and you hate Afro-Americans.” socially unacceptable. But his decision not to speak out against this statement means that he agrees with that statement. This making him a racially motivated person.

This is what our country has been reduced to. Is civil war a possibility? I doubt it very highly. Will our country become more and more divided? That is a guarantee that you can take to the mountain top. Barack Obama has shown in the last few days how unqualified he is to be President of the United States when it comes to foreign policy and diplomacy. He has no idea of how to handle the military when it comes to overseas commitment. At the end of the day we are in a religious war in the middle east and those last for hundreds of years. The choice is to keep fighting or surrender to the enemies. Only two choices.

As the emotional and financial stability of our nation crumbles, the Democratic Party has only three agendas:

1. Raise taxes

2. Make the top 5% of high income people pay for the rest of the country.

3. Provide the country with a huge amount of free, low cost, poor quality entitlement programs.

This will explain to you the kindling point when in 1997 Bill Clinton expanded Jimmy Carter’s 1977 Community Reinvestment Act. (60 FR 22156–57)

In a nut shell, Bill Clinton mandated that banks make loans a lot easier for people that could not afford homes so that they could buy them anyway. The usual Socialist Democrat “Creating a land of Entitlement.”

You will also notice that almost everything that I predicted about Barack Obama came to be true including the relentless blaming of George W. for all the problems with the economy when it was really Bill Clinton that started it in 1997. I will admit that George W. did not battle hard enough against the Democrats in 2004 to prevent the total meltdown of the economy in 2007-2008.

I will bet that you will mention absolutely nothing about what Bill Clinton did in your movie and if you do it will be one line with no coverage of his blunder at all.

This act that Bill Clinton did was swept under the carpet and never mentioned on any news cast including Fox News Network. How did I find out? My cousin sent me the “Burning Down the House” video and I was just so blown away that I spent a month researching it before I wrote my blog. When I got to the mandate in the Federal Register I knew that it had really happened and the rest of the puzzle could be put together by a 12 year old.

This is how it plays out. If Bill Clinton had never expanded the CRA in 1997 and mandated that banks write loans to people that could never afford a home to begin with, The banks would have continued to write safe and secure traditional 30 year loans instead of using creative lending practices like 5/25, 2/28, no down payment, Interest only loans etc. The deregulation opened doors to predatory lenders that took advantage of a very dysfunctional, bad law. None of that would have happened and our economy would not be in the condition that it is in today with Barack Obama making worse and worse every day he speaks.

I hope you are intelligent to see this chain of events and now the Socialist/Democratic way of handling the economy will fail just like it did in 1997 with Bill Clinton except a lot worse. We are looking down the barrel of huge taxes, very high interests rates to combat inflation that will be created by printing all this money that doesn’t exist today and 13% to 15% unemployment. You can’t create jobs with high taxes and excruciating regulations on business. Businesses will not grow or even start to employ people until taxes come way down and restrictions are lifted on corporations to grown and reduce unemployment.

Today Barack Obama continues to use the “Community Reinvestment” theme that failed so miserably in the past.

I hope you are intelligent enough to do your own research and find out more about this.

Thank you,

STMARIE
P. S Nancy Pelosi want to investigate the Bush administration for war crimes, yet she does not want to investigate Bill Clinton for dereliction of duty and crimes against the US economy by providing a mandate that facilitated the destruction of the credibility of the US banking system that eventually spread though out the world.

Thank you for the comments. My goal here is not to change anybody’s mind as I would rather get people to do their own research on the candidates they are voting for and not just watch the campaign commercials. My cousin sent me the first video called “Burning down the house” which is on my very first blog.

Before receiving this video I, like an overwhelming number of Americans especially the young ones. did not know a thing about Jimmy Carter’s Community Reinvestment Act of 1977 and the subsequent expansion of the CRE by Bill Clinton in 1997. As I did my research I needed a concrete government document on what that really was. And I found it at

Think of the economy as a burned out house. We know that things burned in the house. Couches (Banks), Tables (Loan Industry), Chairs (Real Estate market), Beds (Loan industry), But where was the ignition point that started the fire? I wholly believe that Bill Clinton’s mandate for banks to make it easier for poor people to get loans was the spark and the fuel to start the fire (Economic Meltdown.)

I just wish more people would realize this. The sad part is we have a lot of the same people now in office that believe in a “Land of Entitlement.”

So this train wreck will continue as long as Democrats are in control.

Gaze fondly at that little device in your hand that is your legacy, your life, your survival. An item that can help you achieve your dreams, your aspirations, your goals in life. Give you the confidence that your family and friends are OK when they answer your call or return your call.

Yes, it is your cell phone. Barack Obama will make that a huge cash cow to help pay back the trillions that he is spending. And you won’t have any say in it. As the Telcom companies have to pay these increases in spectrum license user fees, they will be very happy to pass it on to you and voila, a whole new set of fees, surcharges, taxes will magically appear on your cell phone bill.

Keep in mind that first responders in local municipalities will have to pay these fees also on the radio frequency spectrum that they use for Fire, Police, EMT, Haz Mat and other public communication services. The local governments will be glad to pass that on to you in the Real Estate Taxes that you pay in your town or city.

This will also affect commercial broadcasters (TV, Radio etc) who have to pay huge spectrum license fees already. Do you think it ends there? Guess again. It will affect providers of two way radio communications for businesses. Communications for delivery trucks, service companies that do repairs at your home. Telemetry used for businesses like UPS , Fed Ex and common carrier trucking companies to keep track of your packages. Oh did I mention radio services for our railroads, airlines, commercial and passenger ships, buses and other forms of public transportation? All using Radio Spectrum frequencies. But here is the one that I know will be a Huge Cash Cow for Barack Obama. Guess what is so very popular in our business today? Yep, Direct Connect or Nextel. What is that going to do to the cost of doing business?

OK, so can you see how we are going to get to 13% inflation or more that Jimmy Carter awarded the citizens of the United States with in 1980? Does this make sense to you now?

I appreciate your answer but I have to tell you that you are just following what Barack Obama is telling you without doing any home work.

What Barack Obama has brainwashed you into thinking is the same thing that Jimmy Carter did in the 70’s. It is true that Jimmy Carter gave way to creating a lot of jobs by doing the same thing. But in the long run we ended up with a huge Inflation rate. To combat that out of control inflation the fed took the prime interest rate to 20.39% on July 1, 1981 (Source: http://research.stlouisfed.org/fred2/data/MPRIME.txt ) and Inflation Rate of 13.58% in 1980 (Source: http://www.miseryindex.us/irbyyear.asp).

By the way, Jimmy Carter used the “Misery Index” (http://www.miseryindex.us/) to get elected. The difference here is that Barack Obama has psychologically damaged people so bad as far as consumer confidence that it will be very, very hard to change peoples minds until the light goes on in people’s minds when they finally realize that electing Barack Obama was the most catastrophic that thing that the citizens of the United States could have ever done.

OK, Now here is what I really want to hear your rational on. Let’s talk about Bill Clinton’s expansion of Jimmy Carters Community Reinvestment Act of 1977 that he did in 1997. This mandate led people from all different arenas to develop a ferocious appetite for greed and corruption which in the end caused the mortgage and home market to collapse to what we have today. While it is true that Bill Clinton did not tell the banks and lending institutions how to write loans, Bill Clinton was most certainly the catalyst for the mortgage melt down. I just find it appalling that there is not one socialist (Democrat) that will admit to his wrong doing in trying to expand our “Land of Entitlement.”

“C. Experience With the 1978 Rule
The experience with the 1978 rule
was summarized in the preamble to the
Agencies’ 1995 CRA rule. 60 FR 22156
(May 4, 1995) (1995 rule).”

It stated:
The CRA has come to play an increasingly important role in improving access to credit in communities—both rural and urban—across the country. Under the impetus of the CRA, many banks and thrifts opened new branches, provided expanded services, and made substantial commitments to increase lending to all segments of society. Despite these successes, the CRA examination system has been criticized. Financial institutions have indicated that policy guidance from the agencies on the CRA is unclear and that examination standards are applied inconsistently. Financial institutions have also stated that the CRA examination process encourages
them to generate excessive paperwork at the expense of providing loans, services, and investments to their communities. Community, consumer, and other groups have agreed with the industry that there are inconsistencies in CRA evaluations and that current examinations overemphasize process and underemphasize performance. Community and consumer groups also have criticized the agencies for failing aggressively to penalize banks and thrifts for poor performance. Noting that the CRA examination process could be improved, President Clinton requested in July 1993 that the Federal financial supervisory agencies reform the
CRA regulatory system. The President asked the agencies to consult with the banking and thrift industries, Congressional leaders, and leaders of community-based organizations across the country to develop new CRA regulations and examination procedures that ‘‘replace paperwork and uncertainty with greater performance, clarity, and objectivity.’’ Specifically, the President asked the agencies to refocus the CRA examination system on more objective, performance-based assessment standards that minimize compliance burden while stimulating improved performance. He also asked the agencies to develop a well-trained corps of examiners who would specialize in CRA examinations. The President requested that the agencies promote consistency and evenhandedness, improve CRA performance evaluations, and institute more effective sanctions against institutions with consistently poor performance.
60 FR 22156–57.”

“D. The 1995 Rule and Subsequent
Guidance
The experience with the 1978 rule led the Agencies to replace it in 1995 with a rule designed to emphasize performance rather than process, promote consistency in evaluations, and eliminate unnecessary burden. 60 FR 22156.”

Ok what this tells me is that when Bill Clinton made this mandate it basically rated banks on the QUANTITY of loans over the QUALITY of loans. When this was presented, lending institutions were already writing as many standard 30 year loans as they could. However, the banks and lending institutions had to write more loans. Write more loans to people that could not qualify for a standard 30 year loan. The banks and lending institutions did not want to do this because it would expose the lending institutions to dangerously large amounts of bad debt from bad loans and foreclosures. Remember this was in 1997. So the banks and lending institutions had to come up with creative loan vehicles to meet the mandate that Bill Clinton had written or face federal fines or other actions against the institutions. So the birth of the “No down payment,” Interest Only,” “Adjustable Rate Loans” etc were created to meet the QUATITY of loans that were then rated by this system:

The experience with the 1978 rule led
the Agencies to replace it in 1995 with
a rule designed to emphasize
performance rather than process,
promote consistency in evaluations, and
eliminate unnecessary burden. 60 FR
22156. Among other things, it established a large retail institution test
comprised of three tests: one for
lending, one for investment, and one for
service.”

OK on page 10025 it talks about the above “test.”

Now if I’m not mistaken that is exactly what Barack Obama’s boy Tim Geithner wants to do. The same thing as he called it a “STRESS TEST’ of performance.

OK so what I am trying to tell you is that everything that the Socialist (Democratic) Party has done in the past has been a huge failure as far as jump starting the economy. This time will be no different.

But here is the big difference between Barack Obama and Bill Clinton:

Bill Clinton’s mandate gambled with investor’s money and the public’s savings (401K and IRAs) and lost.

Barack Obama’s mandate is gambling with all of the countries Tax Payer Dollars for generations to come in the future and will lose again. A much much greater amount of people’s lives are at stake here and in these numbers a Tax Payer Revolt is not out of the realm of reality.

And one final thing. A am just as upset with George W. Bush to have even offered a TARP program to begin with. It just gave the Socialist (Democratic) party an excuse to make business and individuals highly dependent on the Federal Government to survive when they gained power by creating a “Land of Entitlement.” out of the United States of America.

I will be best to say that I know you never even read all 1000 plus pages of that “Spendulas” package as I know you did not have the time as did none of the other people that voted for it.

Senator Boxer I can only hope that you sleep well at night not understanding what you voted for in this “Spendulas” package that Barack Obama and the Socialist (Democratic) party rammed down the throat of the citizens of the United States.

Thanks you,

ST

P.S.

I have been writing to Senator John Mc Cain about this as I do not have any representation what so ever in the State of California.

After reading the results of this last survey you put out about the “Spendulus” package I am just appalled buy the number of people that are so uneducated as to believe Barack Obama’s “Fear Mongering” about the doomed economy. After doing some homework I find the similarities between Jimmy Carter, Bill Clinton and Barack Obama so striking it scares me. Jimmy Carter also was elected just Barack Obama by “Fear Mongering.”
But then it was called “The Misery Index.” http://www.miseryindex.us/ Jimmy Carter also tried to spend his way out of the bad level of The “Misery Index.” Where did that get us when Jimmy Carter printed billions of dollars just like Barack Obama? It got us 23% interest that was demanded by the fed to curb the 13% inflation that was created by Jimmy Carter printing all that money that was not backed by gold in the US Treasury. Clearly what Barack Obama is selling you and all your constituents is a train wreck looking for a time and place to happen.

OK lets look at what it looks like Tim Geithner is proposing to do. Look and read this especially section “C”. http://bulk.resource.org/gpo.gov/register/2005/2005_10024.pdf.
Then read. http://bulk.resource.org/gpo.gov/register/2005/2005_10025.pdf
What Bill Clinton mandated the expansion of Jimmy Carter’s Community Reinvestment Act of 1977 in 1979, that was the catalyst that spurred banks and lending institutions to write more loans and meet the quotas that were to be kept score in #10025 above. This forced banks and lending institutions to figure out a way to write more loans to financially challenged people that could not qualify for a traditional 30 year loan. Thus the birth of “Creative Financing” aka “the sub prime loan.” What Tim Geithner is proposing to do is also force banks to write loans that they are not comfortable with. Congressman Schiff let me set up a scenario for you. Imagine you were an underwriter for home loans for any institution. Before you there was a pile of home loans for you to asses the risk management for. Mean while on the radio you have Barack Obama absolutely hammering away all day long making speeches that if “HIS” spending package doesn’t get passed very very bad things in our economy are going to get worse and last longer. And if you do pass it, it will take many years to fix itself if in fact it works at all. Congressman Schiff, how would you feel about putting that stamp of approval on that stack of loan applications?

PLEASE PLEASE do not listen to the Golden Tongue of Barack Obama’s propaganda or the acidic voice of Nancy Pelosi and do not pass this “Spendulus” package into law.

Here is an article in USA today indicating that we may, I say may be at the bottom with home loan foreclosures and we may not have to spend 780 Million dollars to restart the economy. It may be starting by itself. We all know that you can throw zillions of dollars at the economy but it will recover at it’s own pace. It is a natural cycle for the economy to repair itself. Because by and large democrats DO NOT understand SUPPLY and DEMAND, the principles of business and the fact that the American Economy and for that matter the World economy is a living. breathing. dynamic entirety that goes at is own pace. Sometimes an individual makes a very very serious decision that has a moving effect on the Economy like what Bill Clinton did or if you remember what the Hunt Brothers tried to do with silver. http://en.wikipedia.org/wiki/Nelson_Bunker_Hunt.
These created speed bumps in our economy. However Bill Clinton created a crevasse into which out economy fell into and Barack Obama is going to successfully keep us in.

OK let’s discuss this. First of all I am a former union teamster and union auto mechanic.

I never benefitted by being in either union. In fact my paycheck was smaller because I had to have union benefits with held from my paycheck against my will. I never received any benefits back. All lost money.

So Barack has some very valid points however they are very, very outdated. Unions have out lived their usefulness. At one time, there was no one watching out for the employee and unions did a lot to correct long hours, unsafe working conditions, very low wages and a host of other problems that were rampant in the labor market.

He mentions 40 hour work week and overtime. Yes, in the early 1900’s this was a problem. But today it is state law in all states. No union needed.

He mentions safe working conditions. Yes in the early 1900’s this was a problem. Now we have OSHA (http://www.osha.gov/index.html) and we no longer need to have unions for that reason.

He mentions health benefits. Ever since I started working I always viewed health benefits provided by the company as a perk for working for that company. I viewed it as a privilege not a right. After all, this is a big cost to the company. Even with the companies that I had to pay up to half of the premium I was very happy to have that as I knew how much is would cost to pay for it myself outside of a company policy. The unions believe that the company should pay for 100% of all healthcare costs. That is so wrong. When companies can afford it they will help with paying a portion of health care for their employees.

So we have to look at previous years and what Unions have done to various industries like the steel industry. Due to a relentless, crippling union labor strikes, the steel industry has shrunk dramatically as manufacturers can buy higher quality steel at a much lower price from other countries. It costs less to buy and ship the steel from overseas than it does buy manufacturing here in a union steel plant.

We are now seeing what unions have done to the three big American automakers. The union over head has made the American cars non competitive with foreign automakers. This overhead includes Health for retirees and big pensions that are paid to retirees for life. Paying for retirees is a huge cost added to american cars. Pensions have been replaced by 401Ks. When you are done working at a company, the company owes the worker nothing. He/she is not a beneficial asset to the profitability of the company. The retiree is no longer generating any revenue for the company. I know this sounds cold and harsh but that is the way it has to be. It is the employees responsibility to save for his/her retirement, not the union’s or the companies responsibility. Foreign companies are a lot more profitable building cars here in either non-union assembly plants or much modified union contracts.

An Article in the Wall Street journal by Logan Robinson who is a professor of law at the University of Detroit Mercy. He is former general counsel of Delphi, ITT Automotive and Metaldyne, and former head international and commercial lawyer for Chrysler.

So here is the hypocrisy of Barack Obama. Barack tells people that he wants GM, Ford and Chrysler to go back to being successful, profitable and rehiring people. In the mean time he want to empower the bullying United Auto Workers that brought the big three to the brink of extinction. Does this make sense to you?

Barack Obama wants to take away the rights of the owners of ANY company to run a company non-union.

OK let’s look at the effect of that. Most importantly it will dramatically drive wages up through union contract negotiations. Keep in mind this is the number one reason for outsourcing manufacturing jobs to other places all over the world.

The next effect that this would have is rampant inflation. When goods are made under union contracts it dramatically raises the purchase price of either labor or the finished product. When unions were in their strongest days during the 70’s in the Billy Carter administration, the United States was being crushed by 13.5% inflation.

Also keep in mind that all three GM, Ford and Chrysler built the very worst quality automobiles ever to roll off of any assembly line in the world during the 70’s and early 80’s. It was during that period that the Asian auto manufactures started introducing much better built cars at a much lower price as those cars were built in non-Union shops over seas.

A short comment about that as I was a GM trained mechanic from 1968 through 1973 when I had to quit as the poor quality of the Chevys and Olds that I was working on was just disgusting. As I took a trip through the now closed Janesville plant in Wisconsin. I could see that the workers were there just for the money. I didn’t see a lot of PRIDE going into the cars. That is where the Asian, especially the Japanese, had it all over the US manufacturers. For the Asian worker they took a lot of personal pride in what they were building. How do I know that? Very simple. When I would look around in the American Cars that I was working on. I’d see a round dot saying “inspected by #45.”

When I bought my first new Toyota Supra that was made in Japan. I noticed Inspected by stickers also. But guess what? The people that manufactured my car were so proud of their work, there was no #45. There was a person’s name…. yes the person who built the car and inspected it along the way put their name on it. They knew that they had built the finest automobile that they could and would put their name on it. I guarantee that would never happen in a UAW plant. OK, enough about work ethic.

The next thing Unions do is take away the ability of the worker to negotiate their own wages. Basically the Unions turn employees in to mass non desrcript numbers. All people get paid the same no mater what their productivity level is. The only way a person can make more money for better, more competent work is through a new Union contract. Here is the problem with that:

One of the things that is making our education system in K-12 a disaster are the unions. First of all. I will be the very very first one to say and admit that that most important people in out education system are very, very underpaid. I mean that. Teachers should get payed a lot more than they do…. but there is a clause here. It must be based on performance in the grades of the children that they are teaching just like any other job. The teacher unions prevent that.

Here is an example: Four teachers in two schools in the same district. John and Mary in one school and Bill and Ann in another school.

John and Mary’s students are all getting A’s, B’s and C’s and Bill and Ann’s Students are getting C’s D’s and F’s. Yet because they are all in the same contract they all get paid the same. Tell me what incentive does Bill and Ann have to do any better because they will get paid the same as John and Mary anyway.

If the teachers that were turning out better educated students got paid more then the underperforming teachers would either have to get better and get a raise or they will be terminated. Union contracts prevent that from ever happening. So out education system with Union teachers will continue to be a disaster. There are many examples of this.

Here is another example of the industry that I am involved with now and that is the entertainment industry. California has a huge problem with “Runaway Production” Why? Well it is very simple. A producer and shoot a theatrical movie off shore or even in another state that is a “Right to work State.” Shooting in a non-union environment can get a producer very hight quality people without the huge over head of Unions like IATSE and IBEW.

OK so what do I think is the answer if not unions: It is so easy my friend. Employee owned companies that are called ESOPs. That stands for “Employee Stock Ownership Plan.”

Here is a PDF file that was written by Judy Waggoner explaining what an ESOP is.

I can guarantee you that Hansen Plastics has no use or desire to have a union on it premises as they know that the company will not be profitable with a union.

When a company is employee owned every one of the employees from the CEO on down has a stake in the well being of the company. There is no reason why the Unions can not be booted out of the big three American Auto Manufacturers and the companies become employee owned (ESOP). I think you would see much more efficient companies and better automobiles because the employees would all benefit by the operational efficiency of the company. Employees often complain about not sharing in the profit that the companies are making and that is why they need unions. Well if the companies were employee owned they would all get a “Profit Sharing Check” at the end of the year or quarterly. Not practical to dole out profit checks every pay period. So if the company is run right then everyone makes money. If the company has any screw ups for employees then the other employees will want to get rid of them so that the company is efficient and profitable.

OK again Barack Obama just does not get it. His “Change” is what we had in the Carter administration. There is absolutely nothing new that Barack Obama is doing. NOTHING.